A particular person or company and every country needs a currency to transact money to meet its basic needs, hence every country has a different currency. Like Rupee, Dollar etc. which are in a physical form, but there is also a currency which is in digital form (Cryptocurrency), whose printing is not possible in physical form.
A digital asset or asset, which is created to be used as a means of money transaction i.e. exchange, in which the data records of the ownership of one’s personal money are kept in a special ledger in the form of a computerized database, is called Cryptocurrency and to keep the data of its transactions secure, Cryptography or Crypt is used to control the creation of additional cryptocurrencies and verify transfers of cryptocurrency ownership.
Cryptocurrency is not a physical currency like paper money commonly used and this currency is not issued by any central authority, cryptocurrencies use decentralized control unlike centralized digital currency and central banking systems. There are many cryptocurrencies with decentralized networks based on blockchain technology that record data in a distributed ledger enforced by an uneven network of computers. Cryptocurrencies work as a way of exchange i.e. money transactions just as Bitcoin and Litecoin are cryptocurrencies itself.
The first cryptocurrency that started in 2009 was named Bitcoin, which was created by an engineer named Satoshi Nakamoto of Japan. Initially, this currency was not very popular, but gradually its rate increased significantly over time, which made this currency successful, since 2009, there are many types of cryptocurrencies available in the market, which work only as electronic systems.
Apart from Bitcoin, there are many other cryptocurrencies that are being used a lot, how many types of cryptocurrencies are there? Its information is given below.